Rutgers freezes employee salaries amid budget woes

(AP) - Rutgers University says it willcancel scheduled pay raises and freeze the salaries of its 13,000employees, a move it says will save $30 million.

Officials say the move - announced Thursday in a campus-widee-mail - was made because Rutgers faces an "extreme fiscalcrisis" brought on by state budget cuts.

Rutgers invoked a contract provision that says the universitydoesn't have to give raises if the school doesn't have the money tocover the payroll. But officials say the raises may be reinstatedif the budget picture improves.

The university's 12 employee unions criticized the move, andunion officials said they may go to court to force Rutgers to honorits contractual agreements.

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